Interviewer view · keep this screen to yourself

The cost of an OTA booking

You run the case. Read the prompt, answer questions from the notes below, and share data only when the candidate asks for it or gets stuck. Score at the end.

Case timer

00:00

Target length:

1. Read the prompt aloud

Read it slowly, then pause. Let the candidate ask questions before they structure.

An illustrative hotel in Lisbon sells a room night at EUR 200. An OTA booking costs an 18 percent commission. A direct booking costs about 5 percent in website, advertising, and payment costs. How much more does the hotel keep per direct night, and what is the gain from moving 1,000 room nights a year from the OTA to direct?

2. Answers to clarifying questions

This case has no scripted clarifying answers. Answer from the prompt, and say "assume what you think is reasonable" if the prompt does not cover it.

3. A model structure

Compare the candidate's structure with this one. A different split can be just as good if it is clean and fits the problem.

Net rate per night = price minus distribution cost
- OTA net rate
- Direct net rate

4. The working, step by step

Each step shows how a strong candidate works it out. Share a new fact from it only when the candidate asks or is stuck, and let them do the math: the result in the dark box is what they should reach.

Step 1: OTA net rate
What a strong candidate does: EUR 200 minus 18 percent.
OTA net rate (EUR): 200 × (1 - 0.18) = 164
Step 2: Direct net rate
What a strong candidate does: EUR 200 minus 5 percent.
Direct net rate (EUR): 200 × (1 - 0.05) = 190
Step 3: Gain from 1,000 nights
What a strong candidate does: EUR 26 more per night.
Yearly gain (EUR): (190 - 164) × 1,000 = 26,000

The recommendation to listen for

At the end, say: "The CEO walks in. What is your recommendation?"

The hotel should push repeat guests to book direct, because each direct night keeps EUR 190 against EUR 164 through the OTA, EUR 26 more. This means moving 1,000 room nights a year gains about EUR 26,000. The risk is losing bookings: an OTA booking that fills a room that would otherwise stay empty is still profitable, so the shift should never come at the cost of empty rooms. As a next step, track the share of repeat guests who book direct each month.

Score the candidate

Score each criterion from 1 to 5. A 2 or a 4 sits between the descriptions.

This case has no exhibit. Score Exhibit reading on how the candidate used the data you gave them: did they pick out the number that matters and say what it means?

Structuring

1: No clear structure, or a memorized framework that does not fit the problem.
3: A sensible structure, but with some overlap, a gap, or no clear priority.
5: A structure built for this problem, with no overlap and no gaps, a stated hypothesis, and a clear first step.

Math

1: Frequent errors, no units, or needed heavy help to finish.
3: Right answers but slow or messy working, or one error caught late.
5: Accurate and clearly narrated, with units, a sense check, and what the number means.

Exhibit reading

1: Read the chart aloud without finding the number that matters.
3: Found the key number but gave only part of the so-what.
5: Pulled the right number quickly and said what it means for the case.

Synthesis

1: Summarized what was done, with no clear answer.
3: Gave an answer, but with weak reasons or no next step.
5: Answer first, then two or three reasons with numbers, the main risk, and next steps.

Communication

1: Hard to follow: long silences, no signposting.
3: Clear most of the time, with some rambling.
5: Calm and concise, signposted each step, and checked in with the interviewer.

Total

0 out of 25

Score all five criteria to see the band and the feedback template.